Natural Gas Price Analysis for October 12, 2017

Natural gas prices whipsawed and attempted to move higher despite warmer than normal weather which is expected to cover most of the United States for the next 8-14 days according to the most recent NOAA forecast. Above normal weather reducing cooling demand which generally reduces inventories even at the beginning of the fall.

Prices Whipsaw and Settle Lower

Prices attempted to break through resistance levels, near former support near an upward sloping trend line that comes in near 2.89.  Prices were unable to remain above this level despite surging above it earlier in the trading session. Support on natural gas prices is seen near the weekly lows at 2.827. Momentum remains negative as the MACD (moving average convergence divergence) histogram prints in the red with a downward sloping trajectory which points to lower prices for natural gas.